Palo Alto Networks IncFaces high bar after CrowdStrike's record quarter; stock has surged but analyst consensus target is below current price.
Palo Alto Networks reports fiscal fourth-quarter results Tuesday after the close, with the bar raised by CrowdStrike's best-ever quarter of 26% revenue growth to $1.47 billion and a raised full-year forecast of roughly $6 billion. Palo Alto shares have surged 101.73% year to date to $371.59, and options traders expect an approximately 8.5% earnings move. The company has beaten estimates in six straight quarters but averaged a -3.73% day-of stock drop, with the last three quarters producing day-of reactions of -7.42%, -6.82%, and -5.64%. Management guided fourth-quarter revenue to $3.345 billion to $3.355 billion, next-generation security ARR to $8.9 billion to $8.95 billion, and non-GAAP EPS to 96 to 98 cents. Analyst consensus targets the stock at $362.71, below its current price, signaling the sell side has not chased the rally.
Palo Alto Networks IncFaces high bar after CrowdStrike's record quarter; stock has surged but analyst consensus target is below current price.
Crowdstrike Holdings IncRecord quarter with 26% revenue growth and raised forecast sets high bar for peers.
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